Articles

Deere - Earnings Are Coming Out.

Deere's earning report come out Thursday Feb 15th which means tomorrow's trading (which is Wednesday February 14th) will be the last day of trading before the release of their earnings. The DJI dropped 525 points today Tuesday Feb. 13th. That hasn't happened very often in the recent past. Here is how Deere traded on that day. Anyone thinking of buying Deere Calls prior to it's quarterly earnings report where handed a great opportunity to get it. It was if you opted to get in during the day of this big fall and out the very next day (which was the day prior to it's earning report being released). The stock regained about half of it's one day loss. Yet that really isn't what I am trying to focus on. Is Deere now skating on thin ice? Let's now back up three months to check out the mood during it's last quarterly report. Here is how the stock traded on the day that quarterly earnings report was published. On a different note three months ago Caterpill...

McDonald's Is Now Near You

People living in brand new subdivisions can probably bike to one. Their stock has shined over the last six months with a strategy of focusing on building more outlets in cities in North America that are growing. Simple stuff. Watch what happened yesterday on the release of their earning reports. Here is a 10:18 a.m. chart. Pretty crazy stuff stuff right?. Now let me make one observation. At 9:30.59 a.m. the stock stopped falling. It was at $285.99. It was down something like ten dollars. It's funny how that much damage could happen in 59 seconds. For some reason that's when it's magical fall came to an abrupt end. Then at 9:33.59 a.m. the stock ended a mini-rally back up in the opposite direction. It moved up to $290.73. That wss an increase of $4.74 in 180 seconds! Notice the.99 second mark was part of the equation again. Then it sold off again. You can see that action on the chart. Doesn't it stand to reason that the .99 second mark is a trigger point for inflection...

Caterpillar Puts on An Earnings Report.

What do I think? The earnings come out before the opening tomorrrow. I don't know. I know the markets are in an uptrend. Just look at stocks like Amazon and Meta which both have recently spiked upwards on good news. Caterpillar builds the equipment that will be necessary to rebuild the world. It should do o.k. on the release of it's it's earnings report. The open interest numbers in the Calls and Puts going into the release of this news are very low. As pointed out in my previous blog, traders cleared their books of all their open interest contracts on both Caterpillar Calls and Caterpillar Puts. Why did they do this? Well trying to outguess what might happen with earning reports can be an expensive game if you end up on the wrong side of things. Guess wrong you lose everything. There were easier times of going along for a ride playing this stock like during last Friday when the stock upticked all day. So let me show you how I think the pros played it. Well they actually fo...

Yes Boeing's Earnings Report Was Good and The Stock Jumped Up. With Caterpillar Earnings Report Coming Out on Monday Morning Will It Do The Same?

Let's begin with a five day chart on Boeing which includes todays action showing how the stock reacted to the the release of it's fourth quarter profit report. Note that the stock dropped on the day prior to this release of this of this news. So today's (January 31ST) ten dollar and sixty cent jump in the stock's price was justified because their earnings were up. To profit on this new release meant you had to get into Call options on the day before this earnings report came out. Are you able to see the element of fear or panic that drove the stock down $5.00 on that day? That was the time to be buying in. But wait. We can't always say that a five dollar a share drop in a stock's price on the day prior to it's earning's report release is going to happen. Yet this time it did. So option players this time were handed a gift if they were bullish on the stock. The short term "near-to-the-money" and in-the-money" Call options doubled in a day o...

A Fireside Chat - One Year Options and Thirty Day Options. Which is Better?

Some say to think small, not big. Trying to play Disney options is thinking big. It is a stock slightly out of favor. If we start with it's a three year chart, we will see it is down by about 50% over that period of time. Now it's one year chart. If the stock can break 110 in early 2024 the sky is the limit. It does have a lot of moving parts so anything could happen. Look at these Calls options one year out. One year in options buys a lot of time.They look reasonable. If the stock ever inched up to the $105.00 price level in the three or four months these options would jump up in price by about 50%. Even more if they had really good news. Yet it's the "what-if" aspect of the equation that castes such a trade in doubt. "What if" stories just don't cut it. There are to many variables in play. Then again, why are we even thinking of long-term Call options after a December's rally? Let's switch gears. If consumers are out spending for X-ma...

Buying Back Shares To Help Lift The Stock - EV News Again

After years of work they now have three truck sales. Now this. Would I be buying this stock? NO. Another reverse stock split seems to be in the wind. On a differing note "Faraday Future" is busy running around race tracts breaking speed records. I guess they are burning off steam after recently doing a 1-80 reverse stock split. Image that! Yes it really did happen. What a crazy race to go electric.** Now Mullen again one week later. **** An update in July 2025.. Nothing has changed much. We still have struggling car making companies.